Member Info for chilting

The best defence that the oil industry has against renewables is 100% carbon capture which is why the oil majors are spending so much money on research in this area.

If carbon capture can be perfected, by what ever means, it totally voids the case for spending more on subsidising renewables and spending a vast amount on nuclear.

Not only that, but the oil industry gets revenue for disposing of CO2 in spent oil wells.

The climate change summit in September will give us some idea of how much Governments around the world are willing to commit to subsidising renewables - Then it will be a case of measuring compliance.

There is no easy answer for anybody but the ice caps are melting and not many could afford their heating if the price of energy were to double - a total impasse.

There is a steady stream of comments regarding the cost of renewables - mostly valid.

There is also a steady stream of comments regarding the desire, from all of us, to see Brent at $100.

Maybe a degree of hypocrisy???

Certainly a good entry point, more or less the average for the last four years.
A good home to stash profits from other more dynamic and volatile equities with the bonus of a great dividend.
Capital growth isn't the priority here.

Last year's results knocked the SP but I think we will see a recovery this coming week as retail and institutional buyers return to the fold.
Hopefully the SP will break through 3500 in just a few weeks.

Totally agree that every retail unit - what ever the size has to be profitable or close.

I think that there is scope to open 1000 square foot clothes stores in locations where bigger stores have closed, especially as most towns that have lost lots of chain stores.
They could also operate as click and collect locations and order hubs for customers who don't use the internet.

I think that it is important to maintain a High Street presence, where possible, and low cost units like this, employing maybe 10-20 staff, including part time, could be the answer.

Valueplay
You just log in as a guest and then change the month - April data will probably be entered later next week.

https://my.euroclear.com/en/login.html?resource=%2Fcontent%2Foperations%2Fapps%2Fen%2Fmonthly-stock-loan-data.html&$$login$$=%24%24login%24%24&j_reason=unknown&j_reason_code=unknown#

Valueplay
I totally agree that the hedge funds, or others, won't take a big risk with Ocado and build up a larger short.

Its the Euroclear data that gives a better indication when there are multiple small short positions under 0.5% and this does back up my theory. We don't have the April figure yet but March was 7.74%

I think that the institutional shorts are dictating things at the moment - not by taking out large positions - its more of a mass short term milking exercise with lots of institutions taking advantage of the lower trading volume.

They simply let the SP rise without intervention for a few weeks - take their modest short position - then sell to bring down the SP - then repeat.

This sort of low level shorting, when a small position can easily be closed, carries much less risk.

From Law360.com

"AutoStore Technology AS v. Ocado Innovation Ltd.

Norwegian robotics company AutoStore Technology is suing Ocado Innovation Ltd., a supplier of automated grocery warehouses. A patents and registered designs claim was filed on April 29. AutoStore has taken action against parent company Ocado Group PLC in the past, accusing the grocery giant of stealing technology for an automated storage and retrieval system. According to media reports, the rivals are also facing off in Germany, Poland and Norway.

The case is AutoStore Technology AS v. Ocado Innovation Ltd., case number HP-2021-000016, in the High Court of Justice of England and Wales. "

The SP is a tad depressed at the moment while we wait for the fruits of Ocado Solutions endeavours to show results in term of commission profits from the new CFC's that are opening this year and news of new contracts.

With the pandemic receding and online shopping becoming mundane rather than a life line, we are basically in Limboland - Ocado isn't sexy anymore.

Things will change - in the meantime, some entertainment.

https://www.youtube.com/watch?v=kF1GsAHBzeY

I would try to maintain a presence in a town when it became necessary to close a store that was underused and became unprofitable or because there was a better out of town M&S option.

If the location also has a food-hall that is profitable then just devote 1000 square foot for a clothing department.

In locations without a food hall simply open a 1000 square foot boutique clothing store aimed at the local demographic.

These small units would simply sell the basics in the M&S clothing range that probably account for around 75% of sales.

M&S need to take account of public opinion an not put themselves in the position of abandoning a town - this has been very damaging for the Banks and as we have seen recently for John Lewis.

Rather than try and solve the whole climate change problem - best left to Greta and Boris - it is probably more relevant to talk about the best option for Enquest and us as shareholders.

Undoubtable carbon capture is expensive, but it may be the least expensive option because it basically allows basic old efficient technology to produce power - gasification of coal for example - then the CO2 is removed and buried underground.

This puts North Sea Oil Companies centre stage, the whole process relies on them, because they provide the depository for the CO2 in spent oil fields - potentially very lucrative.

BP plan to produce 1GW of blue hydrogen at Teesside, so 20% of the total targeted.

Levenmouth is a demonstration project only, the homes will be converted back to gas after its over, they are using wind to produce green hydrogen.
The much larger Teesside project, that BP are involved in, is planed to produce blue hydrogen from gas with the CO2 removed for carbon capture. This will supply heavy industry and domestic on Teesside.

In my view, green hydrogen from wind is probably too expensive but blue hydrogen production with 100% carbon capture could just be the way forward if the technology can be perfected.

It could also be good news for fossil fuels, especially when you consider that Governments want EV's - we will need lots more electricity to power them and if the job is "just" to collect CO2 from power stations that could be achievable - we could even see the return of coal.

jimjam
I can certainly see the appeal of Oxford and other historical centres such as York and Chester - these will always be excellent locations for M&S.

Its the smaller town centres that have less to offer, when it is simply a chore to park and when you get there the choice of shops is limited.

In Sussex, I am thinking of places like Worthing that has a High Street store with a much bigger and better out of town store nearby. Keeping this store open, that has been there for over 100 years, will probably only be a benefit for the local elderly population - what should M&S do???

jimjam
I can see a good recovery in retail, its happening already, but I think the damage will take longer to repair in bricks and mortar retailing, so I would agree that we may be stuck at this level for a while.

I don't see 225p until we get full year results next Spring. At that time also, I think the future of the business will become much clearer and at that point the SP will start to move up.

Its just a case of being patient, I don't see any downside - this is a safe investment, but its certainly not a dynamic one.

No one has answered the question - Is basically the same question that Banks have to answer when closing branches.

With the move to online and out of town stores - Do M&S keep stores open in the High Street, just as a service for their elderly customers???

Its going to take quite a few months for a pattern to develop here, we will see winners and losers, and that won't necessarily be particular retailers, more likely locations and also confined to certain age groups.

Maybe, M&S will also see the same pattern developing in their clothing departments as the supermarkets, with the older generation returning to the High Street and the younger generation buying online.

This could make decision making very difficult for M&S - do they keep stores open in the High Street, just as a service for their elderly customers???

Barclays boss predicts biggest boom since 1948 on the back of the vaccine roll out in the UK and US, funded by savings.

https://www.bbc.co.uk/news/business-56940141

This article describes the background behind the proposed strike, hopefully they can get it sorted.

https://www.shetnews.co.uk/2021/04/29/unpicking-the-towage-contract-not-possible-sic-tells-tug-men/